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Mexico Energy Project’s mid-term evaluation shows how parallel strategies can be replicated 

February 6, 2024


The “Energy Efficiency (EE) in Small and Medium Enterprises” project aims to enhance energy efficiency in Mexican SMEs by fostering greater private capital participation. This approach aims to cultivate a robust and dynamic energy efficiency market, ultimately contributing to the development of a low-carbon economy in Mexico.

AMBERO and Oxford Policy Management conducted a mid-term Evaluation and Learning Exercise (ELE) regarding the project’s progress.

Here are a few significant outcomes of the ELE:  

  • The project was deemed relevant to the needs of key stakeholders, as it will enhance the competitiveness of MSMEs, reduce energy intensity, and align effectively with the national climate and energy efficiency objectives outlined in the Nationally Determined Contributions (NDCs).
  • External factors have impeded the project’s national-level implementation. However, a parallel strategy identified sub-national organisations funding SMEs for EE projects. The project offered technical support to SMEs, facilitating investments in and deployment of EE technologies, opening avenues for replication in other states.
  • Although implementation is at an early stage, evidence demonstrates the potential viability of a business model that mobilises financial resources to develop sustainable energy projects in MSMEs. This approach, based on energy savings payment schemes, leads to GHG emission reductions. 
  • Effective and sustainable sector transformation requires a robust foundation, which may take time to establish. It is possible that projects consider a low output achievement plan during a long inception phase, as this phase is crucial in laying a solid foundation for implementation upscaling. 

Following the main findings and recommendations of the ELE, the TSU and the project have compiled a management response to address the key points that were raised.  The management response and the mid-term ELE report are available in the Knowledge & Learning Hub.